After July 1, prosumers will be able to decide to change the settlement system

Luc Williams

On Monday, information on work on the draft amendment to the Renewable Energy Sources Act and certain other acts was published on the government's list of legislative works. The project prepared by the Ministry of Climate and Environment is to be adopted by the end of the second quarter.

As the project's authors argue, the current regulations do not ensure the effective development of renewable energy sources. The proposed regulations will cover four areas: ensuring compliance of national law with EU law; acceleration of the issuance of permits in the field of renewable energy; organizational changes in connection with the entry into force of the Central Energy Market Information System (CSIRE); changes in the net-billing settlement system.

Regarding prosumers, it was recalled that in accordance with the applicable RES Act (Article 4b(1)), the calculation of the value of electricity introduced into the network by a prosumer and collective prosumer according to the monthly market price of electricity will be carried out until June 30, 2024, and from July 1, 2024, the energy value will be calculated based on the market hourly price of electricity. It was noticed that depending on the power consumption profile of the prosumer, this may reduce the profitability of the photovoltaic installation.

“Additionally, the comparison of electricity prices resulting from the seller's tariff, at which the prosumer is billed for the energy consumed, with the price at which this energy is settled after being introduced into the power grid and recorded as a prosumer deposit on the prosumer's account, indicated the need to adopt solutions aimed at aimed at increasing the profitability of photovoltaic installations,” it was indicated.

According to the proposed regulations, after July 1, 2024, the possibility of settling net-billing based on the market monthly price of electricity is to be maintained. “However, prosumers will be able, by submitting a declaration to the seller, to change the settlement method to settlement based on the hourly market price of electricity. An incentive to change the settlement system will be the possibility of increasing the value of the refund of funds unused by the prosumer for the electricity introduced into the network during the next 12 months ( so-called overpayments) up to 30 percent.” – reported in the list.

It was added that if the prosumer decides to continue using the current settlement method, the amount of his overpayment will not increase and will amount to 20 percent as before. the value of energy fed into the network in the calendar month to which the overpayment refund applies.

Net billing means that the prosumer sells the surplus energy he or she produces and, if necessary, buys it. However, he does not receive any money in his hand, and settlements are made via the prosumer account from which the energy is purchased. Net billing replaced net metering, based on a system of discounts. According to the previous method, the prosumer settled for energy quantitatively. For one unit of energy fed into the network, he could download 0.8 for free. For larger installations, the ratio was 1 to 0.7.

According to the designed solutions, the duration of procedures for installations and projects for selected renewable energy sources is to be shortened, with particular emphasis on photovoltaic panels mounted on the roofs of buildings and energy storage facilities located in the same area, heat pumps, devices and installations necessary to connect a given installation to the network. RES and renovation, reconstruction, reconstruction, superstructure or expansion of RES installations.

It was explained that changes in this aspect were to cover procedures for issuing: a decision on a building permit regarding construction works; conditions for connection to the electricity and heating networks; a license for the production of electricity or a license for the production of heat; decisions on environmental conditions; entry in the register of producers conducting business activity in a small installation in the field of small installations.

“Additionally, the procedures for obtaining an environmental decision in relation to the intentions specified in the regulations relating to renewable energy installations, related networks and electricity storage facilities have been recognized as constituting the implementation of an overriding public purpose and are considered to serve public health and safety,” it added.

The proposed act will also adapt Polish law to EU regulations. This includes: o CEEAG guidelines (EU guidelines on state aid for climate and environmental protection and energy-related goals). In this respect, the list of sectors eligible for relief for energy-intensive consumers will be updated in accordance with the catalog specified in CEEAG. Two levels of relief are also to be introduced. Firstly, for entrepreneurs in sectors particularly exposed to the risk of carbon leakage in the amount of 85%. obligation and for companies in sectors exposed to the risk of carbon leakage at the level of 75%. The criterion of qualifying an enterprise as an industrial recipient is also to be maintained in relation to the minimum threshold of 3%. energy consumption.

The new regulations are to introduce an equalization fee, which – as reported – will be paid by energy-intensive consumers entitled to reliefs.

According to the list, the proposed regulations will exclude support for electricity from renewable energy sources generated in waste incineration plants, apart from high-efficiency cogeneration. It will also not be possible to provide aid for the construction of new coal-fired cogeneration units.

The proposed regulations will refer to the EU GBER regulation. This concerns changes within the FiT/FiP support programs “aimed at adjusting the support threshold to RES installations with a maximum installed electrical power of up to 400 kW”.

The information included in the list also states that due to the impossibility of operating the virtual prosumer institution without CSIRE (Central Information System for the Energy Market), the entry into force of the regulations regarding this type of prosumers should be postponed until July 2, 2025. “A similar change in the date of entry into “force should be introduced in Article 6g of the Act of May 20, 2016 on investments in wind farms (Journal of Laws of 2024, item 317),” it added.

Article 6g of the Act on investments in wind farms refers to the investor allocating at least 10%. capacity of the installed wind farm to be taken over by the commune's residents for 15 years in the form of virtual prosumers. (PAP)

author: Michał Boroń

About LUC WILLIAMS

Luc's expertise lies in assisting students from a myriad of disciplines to refine and enhance their thesis work with clarity and impact. His methodical approach and the knack for simplifying complex information make him an invaluable ally for any thesis writer.